Second homes need lower down payment

China lowered the down payment for those who use their housing provident funds to buy a second home, signaling its intention to prop up the property market in a time of battered confidence.

In a statement jointly released by the Ministry of Housing and Urban-rural Development, Ministry of Finance and the central bank on Monday, the minimum payment for buyers who use their housing funds to buy a second home was lowered to 20 percent from 30 percent, if buyers had paid off their previous mortgage.

The statement also said the four most expensive cities in China - Beijing, Shanghai, Guangzhou and Shenzhen - could decide by themselves whether to follow the move.